Ibm Needs To Alter All-or-nothing Policy

Of course, many of us feel entitled to advise IBM. We`ve got at least a couple of qualifications.

First, we`re customers. I`ve got an ancient IBM personal computer and an almost new laser printer in my home office. And all of the software packages are called IBM compatible, though the disk operation system was really developed by MicroSoft.

Second, we`re neighbors. Once, when I lived in Highland Beach, I could see IBM`s Boca Raton buildings from my balcony. And the Boca site, which employs about 5,000 people now, has never been far away, whether I`ve lived in West Palm Beach, Boca Raton or Fort Lauderdale.

That`s fitting, since IBM`s personal computer was first developed in Boca Raton 10 years ago. That first PC, introduced in 1981, was the beginning of a new era.

ITS PCS SET THE STANDARD

It set a new standard for an infant industry, and dozens of competitors copied the standard. Competitors that didn`t switch immediately, companies like Digital Equipment Corp., lived to regret it.

With the passage of time, it is clear to see that the advent of IBM`s personal computers marked a new era in the computer industry. The old industry of mainframes and minicomputers will never be the same.

Now, it is clear, everything in the computer industry must be built to be compatible with everything, and especially, everything must be compatible with IBM PCs and their clones.

At least that has been the prevailing wisdom. The recent news that Apple personal computers, little machines from the company that didn`t copy IBM, are now outselling IBM PCs challenges that assumption.

One industry estimate was that Apple sold more personal computers than IBM in the first two months of this year. In February, according to the estimate, Apple accounted for 27 percent of the personal computers sold in this country and IBM 25 percent. Only six months ago IBM had a 37 percent share.

Apple didn`t sell more than IBM, Compaq and all the other clones combined, of course, and there`s no reason to think Apple will ever replace IBM`s standard. Still, if I were working to develop personal computers at IBM, I`d be worried.

BUYERS CHANGING THE STANDARD

In fact, if I were at IBM, I`d abandon the high-priced, one-size-fits-all policy that has seemed to guide its personal computer development in recent years.

IBM`s new laptop is an example of the problem. ``IBM`s L40 may have the best laptop keyboard yet, but is it worth $5,995?`` asked PC Magazine, clearly implying a negative answer. Competitors as diverse as Toshiba and Radio Shack offer a better variety for less money.

IBM`s decision to market only a top of the line laptop is about the same as a decision by General Motors would be to market only Cadillac convertibles.

Not smart.

Also, if I were IBM I`d go out and ask a bunch of 15-year-old high school students for suggestions about future computers. I`d bet they`d come up with something closer to an Apple than the PS/1, IBM`s home computer.

And, finally, if I had anything to do with IBM, I`d try to promote diversity within the operation. I`d have competing design and development teams, and I`d set up a ``skunk works`` operation -- a development group operating outside the bureaucracy.